Blockchain and Food Sales Market: Are We Ready for it?

The millennial generation has changed the way the world works. I am sure that you already heard about Bitcoin, Solana, Ethereum, and other cryptocurrencies.

Most of my friends in UAE already have crypto portfolios and Blockchain technology is on everybody's lips these days. The biggest invention since the internet has been making waves over the last few years.

It is just natural that as things change, so must we. Now it is time for blockchain technology to do the same and make many industries more efficient and business-friendly. It has already seen a lot of potential not only in the world of finance but also in other spheres: information security, medicine, logistics, data processing, and many more.

The first step would be to understand what is blockchain and how it works

Blockchain is a technology that enables transactions between two parties without the need for a third party. It's a decentralized database that can be used to track just about anything — from diamonds to cars, houses, and even your lunch.

Here's how blockchain works: The technology uses a distributed ledger that records transactions across multiple computers so that they can be viewed by anyone within the network (known as nodes). Each node keeps its own copy of the ledger and its record is updated when new transactions occur. Because there are no central servers involved, it's nearly impossible for hackers to access this information without permission from other nodes within the network — making it more secure than any other system currently available today.

The most common use cases for blockchain are payments and remittance services; however, we're seeing more companies explore ways to use blockchain in supply chains as well.

Have you ever wondered how can we use it in the food supply chains?

The food supply chain is a complex and complicated ecosystem of suppliers, manufacturers, distributors, retailers, and consumers. It is constantly evolving with new technologies being used to improve its efficiency.

Blockchain technology has the potential to be used in many different ways within the food supply chain. It can be applied to anything from tracking ingredients and products, to managing payments and contracts, or even monitoring product recalls.

Here are some of the main benefits of blockchain technology for food companies:

Increased transparency – Blockchain allows information to be stored on a ledger that is shared publicly among users. This means that it’s easy for anyone to verify where a product came from and how it was made. This makes it easy for consumers to know exactly what they are buying at all stages of production.

Reduced fraud – Fraudulent activity such as tampering with dates or using fake ingredients can be prevented through smart contracts on blockchains which automatically execute if certain conditions are met (for example if an ingredient is added).

Faster payments – Using blockchain technology means that payments can be executed much more quickly than traditional methods such as checks or wire transfers, reducing costs associated with delays in payment processing times. This would also mean less risk of fraud due to there being no physical documents involved.

What is the stage we are now with new blockchain technologies in the food supply chain?

The technology behind blockchain has been around since 2008. However, we are yet to see widespread adoption of blockchain by the food industry. The majority of food supply chain companies are still trying to understand what blockchain technology is, how it works and how they can use it.

Here are some examples of how blockchain technology is being used in the food supply chain:

IBM Food Trust , which was launched in May 2018, is a blockchain-based traceability program, that allows participants throughout the supply chain to share data on food products such as origin, safety, and authenticity. IBM Food Trust has been adopted by Walmart, Nestle, Dole, Tyson Foods, Unilever and other food companies.

The goal of this project is to use blockchain technology to improve transparency in food supply chains by allowing companies to track where their products come from, how long they've been sitting on shelves, and if there have been any recalls for specific products or even brands.

One of the biggest hypermarket chains not only in the UAE but across the Middle East region - Carrefour joined IBM Food Trust program in February 2021.

?Carrefour became the first retailer in the region to offer new levels of insight and transparency to its customers.

The benefits of blockchain are numerous, so why we don’t use it widely in the food supply chain? ?There are several reasons:

Blockchain is expensive to implement and maintain. Companies need to invest a lot of time and money into training employees on how to use blockchain technology, as well as purchasing hardware and software to store the data.

Blockchain has limited uses outside of cryptocurrency exchange. It is not yet clear how this technology can be applied elsewhere in business operations, or if it will be cost-effective compared to existing systems such as software or databases.

Making the end of those thoughts I believe we will continue to see blockchain slowly being integrated into many facets of society. While it is a bit early for food sales blockchain to be fully implemented everywhere, there are hints this technology is here to stay. In the coming years, we will likely see larger retailers and vendors begin to accept blockchain, and we could potentially see these transactions take place on a larger scale than we currently see today.

In this new era where everything is fast-paced, you're probably aware that the world and our priorities have changed. As we are developing, changing, and doing business, it's not enough only to become rich, we want to be HAPPY, HEALTHY, and SAFE. It’s time for us to change our mindset as well as our actions in order to adapt better to this new ecosystem.?